Existing law makes no specific provisions regarding the retail sale, wholesale, or tax on the sale of low-alcohol by volume content beverages from liquor. These beverages are not available for distribution through beer and table wine wholesalers. This bill would define a new category of ready to drink mixed liquor beverages containing no more than eight percent alcohol by volume called "mixed spirit beverages." This bill would require all mixed spirit beverages, other than those distributed by the Alcoholic Beverage Control Board, to be distributed through a licensed wholesaler and sold to licensed retailers in Alabama for on-premises and off-premises consumption. This bill would require each importer and manufacturer of mixed spirit beverages to designate sales territories for each of its brands and enter into an exclusive franchise agreement with a licensed wholesaler for each sales territory. This bill would set conditions and requirements for franchise agreements between suppliers and wholesale distributors of mixed spirit beverages, including provisions for the modification, termination, cancellation, nonrenewal, or discontinuance of an agreement. This bill would provide for the levy of a privilege or excise tax on mixed spirit beverages. This bill would also make nonsubstantive, technical revisions to update the existing code language to current style.

Statutes affected:
Introduced: 28-3-208, 28-3A-9, 28-3A-17